Water quality is declining due to the rise of urbanization, overpopulation, industrial production, climate change, non-compliance of wastewater treatment plants, and agricultural waste. The mushrooming of informal settlements along the bank of the Diep River due to population growth in Dunoon compromises the quality of water. Inadequate sanitation and waste disposal practices in the Dunoon informal settlement are a major problem, leading to the contamination of water resources. This research aimed to investigate the impact of Dunoon informal settlement on the Diep River water quality. Water samples were collected for 4 months from four sites of the river to cover the spatial distribution. The laboratory determined the concentrations of nitrates, phosphates, dissolved oxygen, chemical oxygen demand, total suspended solids, and E. coli, while the field study used a multiparameter reader to determine turbidity, temperature, electrical conductivity, pH, salinity, and dissolved oxygen. The results were compared with the South African water quality guidelines for irrigation, recreation, and aquatic ecosystems, and South African National Standards. The study revealed that the average concentrations of E. coli, dissolved oxygen, electrical conductivity, salinity, turbidity, chemical oxygen demand, and ammonia exceeded the recommended limits in both the wet and dry seasons. Based on the findings, the water quality in Diep River is poor and the Dunoon informal settlement has contributed to this to some extent. The pollution of the river may be linked to health problems and environmental degradation. Considering this, the waste discharged into the neighbouring aquatic environments needs to be monitored and managed frequently.